US Stocks Slide On Nvidia Earnings, PCE Data This Week
US stocks were mixed on Monday, as investors awaited a key quarterly earnings report from Nvidia and key economic data.
As of 10:02 a.m. ET (15:02 GMT), the benchmark S&P 500 index had fallen 19 points, or 0.3%, the tech-heavy Nasdaq Composite had dropped 159 points, or 0.8%, and the 30-stock Dow Jones Industrial Average was mostly flat.
Wall Street's major averages fell on Friday and posted weekly losses, weighed down in part by figures showing U.S. business activity dropped to a 17-month low -- a sign that businesses and consumers are growing increasingly concerned about the Trump administration's policy actions. Consumer sentiment also slumped to a 15-month low and inflation expectations jumped, as households worried about the impact of U.S. President Donald Trump's tariff plans on their purchasing power.
On the economic calendar, traders will be watching the U.S. personal consumer spending price index for January. The data, due out on Friday, is widely seen as one of the Federal Reserve officials’ favorite inflation metrics.
Nvidia results due this week
Nvidia (NASDAQ:NVDA) will headline earnings this week, with the semiconductor group and a major player in the surge in investment in artificial intelligence expected to release its results after the market closes on Wednesday.
The world’s second-most valuable company, Nvidia has been a beacon of the surge in enthusiasm for AI that has fueled the stock market’s multi-year rally. The trend has sent Nvidia’s stock price soaring more than 550% over the past two years.
Markets will also be watching developments surrounding the budget framework set by Republicans in the House and Senate this week. According to Roll Call, House Republicans are reportedly set to vote early this week on their plans for a major spending bill.
"Our primary concern was and remains Washington, specifically that a prolonged period of extreme uncertainty at a time of elevated valuations will (at the very least) cap the market and prevent further gains," analysts at Vital Knowledge wrote in a note to clients.
"There is unlikely to be any clarity on a number of Washington-related matters until at least the summer, which only adds to the cautious outlook."
Source: Investing.com
